How does FreshBooks calculate accounts receivable?

You may have noticed that the only value that is pre-populated on your balance sheet is the “Accounts Receivable from FreshBooks” field. That is the only value that FreshBooks has an accurate record of. That amount comes from how much you are owed from Unpaid invoices that have been sent to your customers.

The value displayed in that field is in your Base currency, but rest assured that unpaid multi-currency invoices are taken into consideration. FreshBooks uses the conversion rate from the day of the “Balance Sheet as of” date, or the closest available day, and adds up all the different currency invoices to one total accounts receivable amount.

If you invoice clients in several currencies, FreshBooks will calculate the Accounts Receivable value for you. The numbers on this balance sheet are displayed in your base currency, and FreshBooks handles the conversion. We will show you which currencies are a part of your accounts receivable value, and if you hover your mouse of those currencies you will see a detailed breakdown of the conversion which gives you the final number.